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Threat to free TV licences for over-75s

BRITAIN’S oldest pensioners face losing their free TV licence after the BBC’s director-general refused to guarantee the benefit pending an upcoming review.
The broadcaster agreed to shoulder the cost of providing £150.50p licences for people aged 75 and over as part of its last funding deal with the Government.

It was previously compensated by the Department for Work and Pensions but this repayment is being phased out.

The BBC will foot the whole bill from 2020 when it is set to cost about £725million a year.

Director-general Lord Hall yesterday stopped short of confirming to MPs that elderly viewers will continue to receive the licence free of charge.

He told the Commons Digital, Culture, Media and Sport Committee: “The concession, as it is currently formulated, comes to an end in June 2020. That was part of the last licence fee settlement. We, the board, have got to decide what to replace it with.

“We have got to be mindful, we know that those over 65 or over 75 consume many, many more BBC services than others. There is real hardship among some or many of those over 75 too. It could be the same. The board could say, we will just continue with it as it is. It could be reformed. There’s a whole load of options.

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“We are just not in a position to say what the right option will be. We have got to have a public consultation about what we do.”

He added: “We will make a decision in the autumn or winter.”

Currently such people do not automatically become exempt but can apply for a licence waiver online or by post.

The cost represents nearly 14 per cent of the BBC’s £5.06billion annual income.

It has previously been suggested that the benefit could be means-tested.

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Another option would be to stop giving free licences to people who live with someone who is not eligible for the benefit. Caroline Abrahams, director of the charity Age UK, said: “Increasing numbers of older people who live alone say their main form of companionship is their TV and for many others, especially those who are housebound, TV is a precious window on to the world.

“Anything that makes it harder for older people like these to enjoy watching TV would be a source of great concern to Age UK.”

A BBC spokesman said it was obliged to consult on what the policy would be from 2020 as part of its charter renewal.